- FTX, the second-largest cryptocurrency exchange, unexpectedly imploded, shocking the whole cryptocurrency community. Coachella seems to be suffering collateral damage even though the industry-wide effects are still being felt.
- Coachella NFTs worth up to $1.5 million appears to be “disabled” as a result of the notorious cryptocurrency exchange FTX declaring bankruptcy.
- Ten NFT “Coachella Keys” were included in the collection, which provided lifetime access to the event as well as VIP benefits like lavish experiences and privileged access to items.
Prior to the Southern California event’s first staging after the epidemic, the festival teamed up with FTX.US to sell $1.5 million worth of NFTs in February. The set contained 10 NFT “Coachella Keys,” which offered lifetime admission to the event as well as VIP benefits including lavish experiences and privileged access to items. On the now-defunct exchange, a large number of such NFTs seem to be frozen and unavailable.
Coachella staff posted on the festival’s Discord service, “Like many of you, we have been following this story evolve online over the past few days and are astonished by the outcome.” “At this time, we are unable to communicate with the FTX team. We have put together an internal team to develop solutions based on the resources we have available. Our top objective is to remove Coachella NFTs from FTX, which at the present seems to be disabled.
The ripple effects have been terrible, locking up billions of dollars with scant hope for recovery. Several NFTs made available through the FTX platform, including NFTs from Coachella and Tomorrowland, are included in this list of assets.
Many crypto enthusiasts have long advocated that NFTs and cryptocurrencies shouldn’t be housed or held by centralized systems like FTX, even though few in the Web3 sector foresaw a crisis of this magnitude. The most recent information from the Coachella team was released and it suggested customers sign out of all FTX accounts and refrain from dealing with any FTX products.